The cynical Captain Harris and his dim-witted assistant, Lt. Proctor, are eager to find a way to eliminate Commandant Eric Lassard from the Police Academy. To their delight, they discover that Lassard is a year overdue for mandatory retirement. However, just before his retirement, he is honored as the "Police Officer of the Decade" and decides to take his cherished graduates—Sgts. Hightower, Jones, Tackleberry, and Hooks, along with Lt. Callahan and the new recruit, Officer Thomas "House" Conklin—to the National Police Chiefs Convention in sunny Miami Beach.
As fate would have it, Harris and Proctor scheme to discredit Lassard again, fully intending to seize control of the Academy for themselves. Their plans, however, take an unexpected turn when they unknowingly book a flight on an antiquated cargo plane while the rest of the police academy group travels comfortably in first class aboard a 747.
Upon arriving in Miami, the misfit officers encounter Lassard's nephew, Sgt. Nick Lassard, who is part of the Miami Police Department. Yet, the situation quickly escalates when Nick accidentally grabs a bag that belongs to some jewel thieves, filled with stolen loot.
As the jewel thieves pursue the bag, Captain Harris scrambles to impress Commissioner Hurst and prove his worth as Lassard's successor. This leads to the typical comedic chaos fans have come to expect, especially when Lassard attempts to guess the annual procedural demonstration.
During the awards ceremony, things take a wild twist when the jewel thieves kidnap Commandant Lassard. Oblivious as ever, he mistakenly believes it to be part of the demonstration. The ensuing negotiation quickly spirals out of control, leading to Harris being captured as well. A thrilling chase across the Everglades kicks off, with the ultimate goal of rescuing the absent-minded Commandant. At one point, Harris faces disaster when he falls overboard and almost becomes an alligator's meal—until Hightower heroically intervenes, saving him and neutralizing the reptile.
As the thrilling chase comes to its climax, Lassard finds himself at gunpoint, still blissfully unaware that it’s not a demonstration. When Nick attempts to clarify the dire situation to his uncle, the elderly Commandant surprises everyone by single-handedly taking down the jewel thief.
In a heartwarming conclusion, during the presentation of his "Police Officer of the Decade" award and an announcement about his retirement, a loophole revealed by Nick indicates that Lassard's mandatory retirement is actually optional. Overwhelmed with joy, he decides against retiring, much to the delight of everyone present who bursts into applause.
